QUETTA: The United Nations Development Programme (UNDP) Pakistan and the government of Balochistan launched the Suppliers Development Programme (SDP) here on Wednesday.

The programme aims to improve stability and promote economic development by providing technical assistance and support to small and medium enterprises (SMEs) in setting up and expanding their businesses.

According to the Oxford Poverty and Human Development Initiative (OPHI) and UNDP Pakistan’s multidimensional poverty index, 71 per cent of Balochistan’s population lives in multidimensional poverty.

The SDP is part of UNDP’s larger Balochistan Economic Development Project which aims to boost economic development in the province by creating jobs, increasing SME competitiveness and nurturing young entrepreneurs.

Pakistan is the first South Asian country to replicate the SDP model which is based on the assumption that marginalised groups, like youth and women, can play dynamic roles in building prosperous societies.

UNDP Pakistan Country Director Tracy Vienings said: “SMEs are important employers of marginalised groups such as women and youth. They offer opportunities to people who may otherwise be excluded from the economic mainstream.”

She added that from an economic and social perspective, building the capacity of SMEs was imperative for a prosperous future.

According to Ms Vienings, the SDP initiative will generate employment and secure the future of skilled labour and young entrepreneurs in Balochistan. “SDP trains consultants to work with value chains comprising a leading company and six to 10 suppliers,” she said.

“They apply a specially designed methodology to improve supplier competitiveness to meet quality and quantity standards, and improved delivery times of products being supplied to lead companies. This low-cost model will eventually be permanently embedded into government and private sector entities,” she added.

Joint Chief Economist of the Planning and Development Depart­ment, Ikramul Haq, said that addressing “the weaknesses of individual SMEs will increase competitiveness at both the individual and sector level”.

The SDP will serve as an excellent tool for developing the private sector and will help reduce poverty and inequality in the long run,” he added.

The UNDP’s Balochistan chief Zulfiqar Durrani also spoke at the event and highlighted the objectives of the programme.

Published in Dawn September 29th, 2016